Asian equity markets retreated on Friday, with technology stocks sold for profit and investors shifting to economically sensitive sectors.
Japan’s Nikkei 225 fell 1.6% driven by losses in domestic chip and AI companies; TOPIX remained flat aided by industrial and consumer gains.
South Korea’s KOSPI was the worst performer, sliding up to 6% as semiconductor giants Samsung Electronics Co Ltd and SK Hynix Inc each dropped over 8% before partially recovering.
Other AI‑related chipmakers on the Nikkei—SUMCO Corp., Ibiden Co Ltd and Renesas Electronics Corp.—were the biggest losers.
Labor Minister Kim Young‑Hoon told Reuters that major tech firms should share AI profits with suppliers, subcontractors and workers; he also mediated a last‑minute wage agreement between Samsung and a union, averting a strike.
Speculation that the Bank of Japan will raise interest rates in June intensified after Governor Kazuo Ueda signaled a discussion on rate hikes and after stronger‑than‑expected April wage data.
US market cues remained pivotal, with Nasdaq 100 futures down nearly 1% and S&P 500 futures down 0.5% in Asian trade; investors awaited May non‑farm payrolls.
Ongoing uncertainty over the US‑Iran conflict added to market caution.
Regional indices: Hong Kong Hang Seng –0.8%; Shanghai Composite and CSI 300 flat; Australia ASX 200 –0.6%; Singapore STI –0.1%; India Nifty futures flat ahead of RBI rate decision expected to hold.
